Though Cryptocurrency has not yet become a mainstream means of payment, recent developments show that it is on its way there. Blockchain’s revolutionary abilities and powers have enabled Cryptocurrency to change the global financial landscape significantly. The impacts of the ICO transactions are felt along the way in many other industries including real estate.
Real estate impacts everybody since everyone needs a place to live and work. However, past analyses show that it is one of the most convoluted and hectic industries to deal with since there are multiple steps and processes involved. These cryptic processes present viable opportunities for fraudsters to strike and get away with your money.
Advantages of Blockchain in the Industry
It is a scary sector to operate in since bureaucracy allows for things to get lost and scams to get enacted. Nonetheless, Blockchain is designed to change all that. Since it records every change and transaction made on it, it is highly transparent. Thus, nothing can be lost or altered without consent when everybody involved can monitor the information.
According to the Punctual Abstract report of March 16th, 2018, the Blockchain-based ‘digital certificates’ can get linked to a single real estate property in the system. Therefore, nobody can sell any property that they do not own. This technology along with the ICO transaction platforms will eliminate fraudsters and restore sanity in the otherwise hectic real estate industry.
Use of Cryptocurrency for real estate transactions real estate transactions will also eliminate the costs incurred for the third-party verification processes. Crypto, real estate transactions are set to increase in popularity due to the direct, authenticated transactions happening peer to peer in a transparent manner with no middlemen involved in the process.
New Members in the Crypto-eager Real Estate World
Deedcoin is the latest entrant in this industry. It is a token-based platform that efficiently changes the way clients search for real estate agents. Rather than opting for the agent with the best commission rates, mostly 6 percent, customers access this new platform, provide information about their property, and are linked with a local Deedcoin agent for 1% commission.
For instance, a family with a $450,000 home for sale can get a full-service local agent and a reliable tech-based platform for a sixth of the regular cost. They can pay $4,500 to sell their estate instead of losing $27,000 to a traditional agent. The YoY reports of property owners in the US released in February 2018 reveal that they stand to lose about $900 billion in commission fees compared to the total $15 trillion they hold.
Deedcoin is not actively used for buying homes, but it helps you save up to 80% or more on commission fees since it is designed to hook owners directly with an agent.
The International Blockchain Real Estate Association Chairman, Ragnar Lifthrasir, said that in a year’s time from now, most marquee real estate companies would have adopted Blockchain in their transaction systems. Since transactions are streamlined, properties will exchange hands quickly and more securely.
Moreover, Blockchain is applicable in many sorts of processes like smart contracts, title registration, and transferring conventional money. Thus, the ICO listings and transactions are set to become popular among buyers and sellers in the real estate industry before the third quarter of 2018. They are set to offer value-add and opportunistic investments in the entire real estate world.